Ondas Target of Unusually High Options Trading (NASDAQ:ONDS)

Key Points

• Unusually bullish options activity: Traders purchased 299,121 ONDS call options, 52% above typical daily volume, signaling heightened speculative interest.
• Strong growth outlook: Ondas reported approximately $83.8 million in second-quarter revenue, raised its 2026 outlook to $550 million, and cited a $757 million backlog. It also won a multimillion-dollar Israeli defense tender for tactical attack drones.
• Significant risks remain: The company continues to post substantial losses, including an approximately $50.6 million adjusted EBITDA loss, while short interest is near 40%. Shares fell 8.8% to $8.91 despite a “Moderate Buy” analyst consensus.

Ondas Holdings Inc. (NASDAQ:ONDS - Get Free Report) was the target of some unusual options trading activity on Thursday. Traders bought 299,121 call options on the stock. This represents an increase of 52% compared to the typical daily volume of 196,580 call options.

Ondas News Roundup

Here are the key news stories impacting Ondas this week:

• Positive Sentiment: Raised outlook and strong backlog: Ondas reported second-quarter revenue of approximately $83.8 million, above estimates near $68 million, and raised its 2026 revenue outlook to $550 million. Management also highlighted a backlog of roughly $757 million and expects sustained demand for its drone and counter-drone systems. ONDAS Stock Rises on a Q2 Earnings Report, a $757 Million Backlog, and Raised Guidance
• Positive Sentiment: Israeli defense opportunity: Ondas won a multimillion-dollar Israeli defense tender for next-generation tactical attack drones, expanding its international customer base and supporting its autonomous defense strategy. Ondas Wins Israeli Defense Tender for Next-Gen Tactical Attack Drones
• Positive Sentiment: Analyst and trading support: Roth Capital initiated coverage with a “strong-buy” rating, while traders purchased about 299,121 call options—roughly 52% above typical call volume—indicating increased speculative bullish interest. Roth Capital Begins Coverage on Ondas
• Neutral Sentiment: High short interest: Short interest reportedly stands near 40%. This creates the possibility of a short squeeze if positive contract and earnings news continues, but it also signals significant skepticism among investors. Ondas Stock in Focus as Short Interest Hits 40% Ahead of Earnings
• Negative Sentiment: Profitability remains the key problem: Although adjusted results beat some consensus estimates, reports highlighted a sizable adjusted EBITDA loss of approximately $50.6 million. Another earnings report cited a GAAP loss wider than analysts expected, making the revenue growth less compelling for investors focused on near-term profitability. Trends Making Noise on Wall Street Today
• Negative Sentiment: Valuation and expectations: With a high earnings multiple, negative returns on equity and a recent rally of more than 70% from its yearly low, ONDS had elevated expectations heading into earnings. The large post-report decline suggests investors are taking profits and demanding clearer evidence that the backlog will convert into profitable cash flow. Ondas Drops After Earnings

Analyst Ratings Changes

A number of research analysts have recently commented on the company. Roth Capital assumed coverage on Ondas in a report on Tuesday. They set a "buy" rating and a $13.00 price objective on the stock. LADENBURG THALM/SH SH upgraded shares of Ondas to a "strong-buy" rating in a report on Wednesday, May 6th. Zacks Research raised Ondas from a "strong sell" rating to a "hold" rating in a report on Monday, May 25th. Wall Street Zen cut Ondas from a "hold" rating to a "sell" rating in a research report on Sunday, May 24th. Finally, Weiss Ratings cut shares of Ondas from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Tuesday, August 4th. Two equities research analysts have rated the stock with a Strong Buy rating, six have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, Ondas has a consensus rating of "Moderate Buy" and a consensus target price of $16.33.

Insider Transactions at Ondas

In related news, CEO Eric A. Brock sold 2,378,245 shares of Ondas stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $13.43, for a total transaction of $31,939,830.35. Following the completion of the sale, the chief executive officer owned 3,583,010 shares of the company's stock, valued at approximately $48,119,824.30. This trade represents a 39.90% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Randy Seidl sold 10,000 shares of the firm's stock in a transaction dated Tuesday, May 19th. The stock was sold at an average price of $9.83, for a total value of $98,300.00. Following the sale, the director directly owned 295,504 shares of the company's stock, valued at $2,904,804.32. This trade represents a 3.27% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 2,395,745 shares of company stock valued at $32,109,380. 1.67% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. NFSG Corp raised its position in shares of Ondas by 200.0% during the first quarter. NFSG Corp now owns 3,000 shares of the company's stock worth $27,000 after acquiring an additional 2,000 shares during the last quarter. Western Wealth Management LLC acquired a new position in Ondas during the 1st quarter valued at about $28,000. EverSource Wealth Advisors LLC boosted its stake in shares of Ondas by 5,373.7% in the 1st quarter. EverSource Wealth Advisors LLC now owns 3,120 shares of the company's stock valued at $28,000 after purchasing an additional 3,063 shares during the last quarter. IFP Advisors Inc grew its position in shares of Ondas by 231.4% during the 3rd quarter. IFP Advisors Inc now owns 4,142 shares of the company's stock worth $32,000 after buying an additional 2,892 shares during the period. Finally, AdvisorNet Financial Inc bought a new stake in shares of Ondas during the first quarter worth approximately $35,000. 37.73% of the stock is currently owned by institutional investors.

Ondas Stock Down 8.8%

ONDS traded down $0.86 during trading on Thursday, hitting $8.91. The company's stock had a trading volume of 123,326,108 shares, compared to its average volume of 85,506,867. The firm's 50 day moving average price is $8.29 and its two-hundred day moving average price is $9.52. Ondas has a 12 month low of $3.20 and a 12 month high of $15.28. The stock has a market capitalization of $5.08 billion, a price-to-earnings ratio of 222.75 and a beta of 2.72.

About Ondas

Ondas Holdings, Inc NASDAQ: ONDS develops secure private wireless networking solutions and unmanned aircraft systems tailored to mission-critical industrial applications. Its Ondas Networks division offers the proprietary FullMAX platform, a long-range, high-bandwidth broadband network designed to support real-time data transmission, remote monitoring and IoT deployments across rail, maritime and infrastructure environments. The broadband platform integrates edge-to-cloud architecture to ensure operational resilience and regulatory compliance for transportation and utility operators.

The company's Ondas Autonomous Systems segment builds heavy-lift cargo drones and uncrewed aircraft platforms for logistics, pipeline and infrastructure inspection, emergency response and other government and commercial use cases.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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